Audit Reveals ₹49 Crore Discrepancy in Himachal Marketing Board

Financial irregularities have been uncovered in the 2023–24 audit report of the Himachal Pradesh State Agricultural Marketing Board. The report highlights an alarming ₹110 crore in advances that remain unsettled, along with a discrepancy of approximately ₹49.25 crore concerning deposit works. These findings have sparked significant political backlash, particularly from the Opposition Bharatiya Janata Party (BJP), which is calling for a comprehensive investigation.

According to the audit conducted by the State Audit Department, a total of ₹110,63,62,295 has been disbursed as advances to the Executive Engineer, employees, and various organisations for construction projects and related activities. Remarkably, the Executive Engineer alone is accountable for ₹95.52 crore of this amount. The audit notes that many of these advances date back several years, yet the Board has failed to obtain necessary Utilisation Certificates or reconcile its accounts.

Discrepancies in Financial Reporting

The audit report further indicates a discrepancy of ₹49.25 crore in deposit works associated with various market committees. While the Board collected advances for construction projects from these committees, it reportedly did not issue Utilisation Certificates. Auditors observed that the Board incorrectly classified the committees’ assets as its own under “work-in-progress” in the balance sheet, artificially enhancing its financial position on paper.

Additional concerns were raised regarding inconsistencies between employees’ Contributory Provident Fund (CPF) accounts and the corresponding bank balances. The audit also flagged that grants totaling ₹74.45 crore received from both the Central Government and the Himachal Pradesh Government were presented as balances in the balance sheet, despite being utilized for the operations of Mandi Committees.

The findings have prompted a strong response from the BJP. BJP Chief Spokesperson and Member of the Legislative Assembly (MLA) Rakesh Jamwal characterized the audit observations as indicative of “serious governance failures” under the Congress government. He asserted that the unresolved advances and accounting discrepancies are not mere oversights but represent significant concerns involving public funds intended for farmers and mandi infrastructure.

Jamwal has demanded an independent investigation led by a competent agency and the immediate initiation of criminal proceedings against those responsible. He also called for a public explanation from the Chief Minister regarding the status of the unadjusted ₹110 crore, along with a detailed account of the ₹49 crore discrepancy in deposit works.

Impact on Agricultural Infrastructure

These developments have cast a shadow over the functioning of the Agricultural Marketing Board, which is responsible for managing funds and infrastructure critical to mandi operations across Himachal Pradesh. The implications of the audit findings extend beyond financial discrepancies; they raise questions about the governance and accountability of the Board in handling public resources.

As scrutiny of the Board’s operations intensifies, stakeholders are keenly observing the government’s next steps in addressing these serious issues. The outcome of the investigations and any subsequent actions taken may significantly influence the future of agricultural marketing in the region, highlighting the importance of transparency and accountability in public financial management.